An Example of a Fixed Cost for a Manufacturer Would

question 169

Multiple Choice

An example of a fixed cost for a manufacturer would be which of the following?

• A)Sales commissions
• B)Salary of plant manager
• C)Direct materials
• D)Delivery costs

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Definitions:

Franchisor

A company or individual that grants the right to operate a business under their brand and system to a franchisee.

Name Recognition

Name recognition refers to the public's ability to recall and recognize a brand or company by its name, indicating a level of familiarity or prestige in the market.

Unlimited Financial Liability

A legal obligation where business owners are personally responsible for all the debts of their business, without any limit.

Partnerships

A legal arrangement where two or more parties collaborate in managing and operating a business.